Regional economy and management: two inseparable concepts for effective economies of individual territories

Regional economy in its structure can be referred to mesoeconomics and is a special economic entity, the main complexity of which consists in the multiplicity of its forms.

The economy of the region is a subsection of economic science, which studies the territorial organization of production activities. This subsection should describe the economic phenomena, processes and other terms associated with the development of regional economies and their harmonization with a single economic space.

Regional economy and management as an independent branch of economic science was formed due to the objective needs of the management of Russia. An important role in its development was played by the need to ensure economic development in the market conditions of both the country as a whole and its individual regions.

This branch of science in the sphere of economy should study not only the production forces, but also the production relations in the context of certain territories. The regional economy and management are engaged in researching the patterns of location on a particular territory of the productive forces, their functioning and interrelationships within the territory. The tools for achieving the selected goals should be:

- statement of theoretical problems of development and functioning of territorial complexes from an economic point of view;

- study of economic processes that occur at all levels of the state economic complex and, of course, the interaction between these levels;

- study of various factors (economic, social and political), which are fundamental in the formation and development of production relations at the level of a particular region;

- Analysis of the causes of problems in the management of economic systems at the regional level.

Like any scientific concept, the regional economy and management has its own object, which is represented by production complexes of regional type, production relations and production forces at the regional level.

When there was a planned economy in the country, branch aspects prevailed in the branch of management of relevant processes. At the present stage, the time of development of a market economy, the importance of regional and territorial aspects increases.

Regional economy and management as an economic discipline is closely connected with such economic sciences as:

- Economic theory: the link is traced in the development, implementation of laws and principles of economic theory in the regional aspect;

- a complex of branch economies: the regional economy reflects and details the features of the functioning of individual economies at the territorial level;

- management and planning of the national economy: communication can be found in the implementation of the principles of planning and management on the example of a particular region.

The effectiveness of regional governance is inextricably linked to improving the living standards of citizens living in this territory. That is why economic development is a concept that is responsible for progress and purposefulness in changing the structure, interaction of its elements, and also improving the quality of the functioning of the production system. This term should be understood as the timely modernization of production, the renewal of its structure and the improvement of its basic functions. In any case, all innovations aimed at economic development of the regions should be progressive and their main direction should be to increase the production potential of the region.